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Structure of a Sub Division

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  • Structure of a Sub Division

    I'm curretly looking at buying a property with land, intending to subdivide and build on. Hopefully hold on to the properties, but may have to sell one for financing next project. I currenty have a LAQC for rental IP's.

    What company structure should I have for the purchase and subsequent subdivision of the property. What are the GST implications - would I have to register for GST as it's a development?

    Would I form a GST company for the purchase & development, and then 'sell back' the properties to my LAQC?

    thanks

  • #2
    Hi PL. You'll get lots of opinions here but for stuff like this SEE YOUR PROFESSIONALS. I have 2 clients doing this at the moment. One has purchased in his LAQC and will sell the section out of that. The other has bought in a trading trust and will sell to his LAQC. It depends on your particular situation.

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